$90M logistics hub to be built in Saskatchewan

Plans have been announced to construct a $90 million commodity logistics hub in southeastern Saskatchewan.

Ceres Global Ag Corp. says the hub will be built on 1,500 acres of land in Northgate, near the Canada-U.S. border.

It will include two high-efficiency rail loops, each capable of handling 120 rail cars. One loop will serve a grain handling and shipping facility, while the other will be used to transfer and ship oil.

The hub will be built over three years and will eventually handle up to 40 million bushels of grain annually and 70,000 barrels of oil a day. It will be connected to BNSF Railway’s freight network, which operates in 28 U.S. states and Mexico.

The project is expected to create more than 100 construction jobs. Another 30 workers will be needed once the facility is fully operational.

“The Northgate hub is good news for Canada’s economy and particularly good for Saskatchewan and Western Canada,” Ceres president Michael Detlefsen said in a news release.

“It will help ease the bottleneck of getting commodities -- especially grain and oil -- out of Saskatchewan and will provide a new and competitive option for shippers and exporters.”

A logistics centre at the site will unload equipment and materials for use in the province’s energy and agricultural sectors.

Construction is slated to begin this spring, pending permits and approvals, and operations are expected to begin later this year.